When you’re bullish long-term and you’ve got an edge present in the market, you welcome market selloffs. While today’s market didn’t really do that much to reduce our basis for entry in $FIVE at tomorrow’s open, we’re always appreciative of any discount. And it feels apropos to purchase this “value retailer” while it’s on sale, if only slightly.
In recent weeks, HOLLY has identified multiple catalysts present in the market for shares of $FIVE that may prove fortuitous if the general market finds it’s footing soon.
The stock has had a great run since early 2016 and it’s currently within hiccup distance of once again printing new all-time highs. And with earnings out of the way last week, we couldn’t ask for a better momentum train to hitch our caboose too.
SWING TRADERS: It’s been slim pickings last few days for attractive long swing trades. But HOLLY has identified a good candidate in $FIVE. We’ll be adding it to the @TradeIdeas HOLLY Hot List at tomorrow’s open. https://t.co/0jtsUNxyyl pic.twitter.com/vChpgwmcl4
— Sean McLaughlin 📈 (@chicagosean) March 27, 2018
We’ll be adding $FIVE to the portfolio of ideas at tomorrow’s opening print and we’ll trail it with a 20% stop.
HOLLY Hot List Portfolio Update
No surprise, our list of bullish positions has had a rough go of it in recent days. Since our last update, we’ve surrendered positions in $MZOR, $MRTX, and $SGMO to the market gods. Fortunately, in the cases of both MRTX and SGMO we exited with some gains — 7% and 36% respectively — if you held all the way to the bitter end. Bull markets don’t go on forever, and it’s possible this one may be showing it’s hand that the end is neigh. But we’ll keep playing as long as we keep seeing interesting setups.